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Mikron Infrared (MIKR) just reported a great second quarter with EPS of $0.17 vs. $0.10 YoY; revs increased 22% from a year ago to $9.26 mln vs. $7.60 mln YoY. The stock trades at just below a 20 trailing PE, has a huge 32% inside ownership and a very small float of 5.6 million. After Q2 the company has basically no debt and $2 million in cash. They also just made a small cash acquisition which should only help EPS in the future.

Yet the thing that intrigues me the most from a trading standpoint is that I have verified that this stock will debut in the top 30 of the Investors Business Daily [IBD] 100 if it gets to the minimum price of $15. That could yield huge returns, as IBD followers have been bidding up low float stocks that have made the IBD 100. For reference check DXPE, IFO and ERS. All of these stocks are off their highs but they had huge runs once getting into the IBD with their low floats.

Mikron Infrared, Inc., together with its subsidiaries, engages in the development, manufacture, marketing, and service of equipment and instruments for noncontact temperature measurement. (Yahoo)

Disclosure: The author has no position in MIKR at the time of writing.

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Source: Mikron Infrared: The Next Smallcap to Enter the IBD 100? (MIKR)